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CAA Creates New Venture Capital Fund; Seeks $20 Million

Creative Artists Agency is looking to get back into venture capital after a failed attempt in 2007.
Creative Artists Agency is looking to get back into venture capital after a failed attempt in 2007.

Private companies that wish to raise money must file a Form D with the U.S. Securities and Exchange Commission (SEC).  That is precisely the type of form that was filed by a new limited partnership organized earlier this year called CAA Ventures I, L.P.

CAA should sound familiar to readers of this website.  It is the acronym for Creative Artists Agency, one of Hollywood’s top talent and sports agencies.  According to the SEC filing, signed by Michael Rubel on February 8, CAA Ventures I, L.P. is a new venture capital fund that seeks $20 million in funding.  Rubel is a Managing Partner and General Counsel of CAA.

This is not the first time that CAA has attempted to receive millions of dollars as part of a venture capital fund.  Although, this effort will be much more conservative than what was attempted roughly six years ago.  In 2007, CAA sought $150-200 million to invest in digital/entertainment start-ups and was working with Draper Fisher Jurvetson, a respected venture capital firm.  However, the venture capital fund never appeared to take shape.

In 2009, CAA partnered with a group of former Merrill Lynch bankers in a venture called Evolution Media Capital (EMC).  The boutique investment bank and advisory firm, EMC, has been involved in a variety of sports and entertainment deals, including recent sales of the Texas Rangers and Philadelphia 76ers and new TV media rights deals between the Pac-12 and ESPN/FOX.

It is all about producing new revenue streams for a company that has traditionally relied on the commission model to stay afloat.  In March 2012, CAA Managing Partner David O’Connor said through a spokesman,

“We saw an opportunity in the marketplace to help create an independent company that would provide an expertise in merger and acquisition finance and media rights transactions within the entertainment and sports sectors.  It’s been a fantastic affiliation that offers EMC clients something more than one would find at a traditional investment bank — a host of resources, relationships and experts within CAA.”

Now CAA is once again going to give developing a venture capital fund a shot.  Will the focus be on digital/entertainment start-ups as it had once planned in 2007, or will it now encompass sports, as well?  Further, which a more realistic goal concerning funds, will CAA be able to do what it was unable to accomplish years ago?

By Darren Heitner

Darren Adam Heitner, Esq., is a preeminent sports attorney and the founder of Heitner Legal, P.L.L.C., a Fort Lauderdale-based law firm specializing in sports law, contract negotiations, intellectual property, and arbitration. He earned his Juris Doctor from the University of Florida Levin College of Law in 2010 and a Bachelor of Arts in Political Science, magna cum laude, from the University of Florida in 2007, where he was named Valedictorian of the College of Liberal Arts and Sciences. Admitted to practice in the state bars of Florida, New York, and the District of Columbia, as well as multiple federal courts, Darren also serves as a certified arbitrator with the American Arbitration Association.

As an adjunct professor, Darren imparts his expertise through teaching Sports Law at the University of Florida Levin College of Law and Name, Image, and Likeness (NIL) at the University of Miami School of Law in the Entertainment, Arts, and Sports Law LL.M. program. His scholarly contributions include authoring several books published by the American Bar Association, such as How to Play the Game: What Every Sports Attorney Needs to Know, and numerous articles in prominent publications like Forbes, Inc. Magazine, and Above the Law. His thought leadership in NIL has earned him recognition as one of the foremost experts by The Wall Street Journal, USA TODAY, and On3, and he has been lauded as a “power player in NIL deals” by Action Network and a “top sports trademark attorney” by Sportico.

Darren’s passion for sports law led him to establish Sports Agent Blog on December 31, 2005, initially titled “I Want To Be A Sports Agent.” The platform, created as a New Year’s resolution, has grown into a cornerstone of the sports agency community, offering in-depth analysis of industry trends, legal disputes, and agent-player dynamics. His commitment to the field is further evidenced by his representation of numerous athletes and sports agents, as well as his prior role as an Adjunct Professor at Indiana University Bloomington, where he developed and taught a course on Sport Agency Management from 2011 to 2014.

Darren’s contributions have been recognized with prestigious honors, including the University of Florida’s 40 Under 40 Award, the University of Florida Levin College of Law’s Outstanding Young Alumnus Award, and designation as the best lawyer in Fort Lauderdale by Fort Lauderdale Magazine. He remains an active voice in the sports law community, sharing insights through his weekly NIL newsletter and his X posts, engaging a broad audience on legal developments in sports.

One reply on “CAA Creates New Venture Capital Fund; Seeks $20 Million”

Good article. That is a smart business move on CAA’s part to attempt once again to be open to venture capitalists to benefit their clients.

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